A company overview of anheuser busch companies inc

One Busch Plaza U. Innovation, a long-standing strategy at Anheuser-Busch, represents the path to greatness. Adolphus Busch employed this strategy 120 years ago to make Budweiser the first national beer--using new ideas like pasteurizing beer, refrigerating railcars to transport it across the country and mobilizing grassroots salespeople to market the product.

Today, Anheuser-Busch has some of the most innovative brewing, packaging a company overview of anheuser busch companies inc adventure-park facilities in the world. Leaders keep their eye on the future and continually find new ways to think about their business. Anheuser-Busch is no exception. History of Anheuser-Busch Companies, Inc. Anheuser-Busch also operates nine theme parks, including Busch Gardens and Sea World properties at several locations.

Louis, bought a failing brewery from Bavarian immigrant George Schneider. The brewery's cool underground caverns near the Mississippi River were conducive to good brewing, and Anheuser was determined to turn the business around, but he lacked experience in the industry.

Therefore, he hired his son-in-law, Adolphus Busch, a recent German immigrant schooled in the art of brewing, as his general manager. According to a popular company legend, Adolphus Busch obtained the recipe for his beer during a visit to a German monastery. There, monks provided him with a recipe and some of their brewer's yeast, the secret of their excellent beer. That recipe became the basis of Anheuser-Busch beers, and the original strain of yeast, allegedly preserved for years in Adolphus's ice cream freezer, remained in use in the 1990s.

Anheuser-Busch Companies, Inc.

Although fictitious, the story highlighted two important philosophies at Anheuser-Busch: In 1853, Anheuser and Busch increased the rejuvenated brewery's capacity from 3,000 to 8,000 barrels per year and began to expand their sales effort into Texas and Louisiana, as well as their home state of Missouri.

The beverage became increasingly popular, as cowboys reportedly a company overview of anheuser busch companies inc their beloved red-eye whiskey for the light Bohemian beer, which became known as Budweiser in 1891, when the company purchased the rights to the name from the Bohemian brewer of 'Budweis.

Moreover, newly invented refrigerated railroad cars permitted the transport of beer across state borders, and the bottling of beer allowed for easier distribution throughout the country. Regional brewers lost their advantage to large breweries such as Anheuser-Busch, which had found the means to supply beer to every state in the union. Despite the growth of its market, however, Anheuser-Busch still referred to itself as a 'regional brewery'--an institution that understood the distinct needs and tastes of local people.

Anheuser gave over the day-to-day operations to Busch in the 1870s. The company continued to prosper, and its workforce increased. During his tenure, Busch initiated the concept of considering employees members of a family: Anheuser-Busch considered this unique relationship between employer and employee, intimate and cooperative, vital in producing an outstanding product.

In the 1890s, Pabst, a competitor, was the best-selling beer in the United States. Busch and his 'family' thwarted the competition, however, with the introduction of Michelob in 1896.

Anheuser-Busch Companies, LLC

Forceful and frequent advertising promoted Budweiser and Michelob as the most popular beers in the country, and this goal was realized in 1901, when Anheuser-Busch became the leading national brewery.

Busch died in 1913, and his son, August A.

Toward this end, Busch patented the first diesel engine, which was installed in the brewery to increase production.

With the onset of World War I, Busch founded a subsidiary to produce the engines for Navy submarines. In addition, the Anheuser-Busch family purchased sufficient war bonds to finance two bombers--each named 'Miss Budweiser. During this hiatus, Anheuser-Busch diversified into related fields.

Malt syrup was canned and sold to people who required malt for their homemade brews. A refrigeration car company was established to transport perishables. Bevo, a soft drink made from ingredients similar to those in beer, was a great success for three years; it later failed when Prohibition laws concerning the use of yeast forced the company to change ingredients.

Nevertheless, Anheuser-Busch began a trend toward diversification that would thereafter characterize the history of the company. When Prohibition ended, the company experienced an unforeseen problem: In response, many brewers changed their formulas to achieve a sweeter taste.

However, Anheuser-Busch refused to alter the formula for best-selling Budweiser, a decision endorsed by Dr. Robert Gall, the company's post-Prohibition brewmaster.

Instead, the company initiated a major advertising campaign, challenging consumers to a 'five-day test. The advertising campaign was successful and established a trend for future consumer appeals.

Anheuser-Busch supplied the military with ammunition hoists, which were in production at a new company subsidiary. Moreover, the distribution of Budweiser beer was withdrawn from the Pacific Coast in order to supply the government with additional freight cars for war essentials, and spent grain was sold to financially troubled wartime farmers for poultry and livestock food. These patriotic actions elevated sales and advanced Anheuser-Busch's image as a patriotic company.

Between 1935 and 1950, the demand for Anheuser-Busch beer consistently exceeded the supply. In 1941, three million barrels of beer were produced, a figure that doubled by 1950. After the death of Adolphus Busch III in 1946, the company temporarily relinquished its lead in the industry.

The Michelob brand was introduced in 1896.

Internationally, the company was realizing encouraging growth, thanks in large part to investments such as the 50 percent of Grupo Modelo brewer of Corona beer acquired in 1993 and the majority stake purchased in the Chinese brewer Budweiser Wuhan International Brewing Company, in 1995, but domestically the brand's sales had flattened. According to a popular company legend, Adolphus Busch obtained the recipe for his beer during a visit to a German monastery.

Among these are three SeaWorld amusement parks; water parks in Florida and Virginia; Sesame Place, a water and amusement park with a Sesame Street television show theme, in Pennsylvania; Busch Gardens, a zoo and amusement park with African themes, in Tampa , Florida ; and Busch Gardens, an amusement park with historical European themes, near Williamsburg , Virginia. Budweiser was introduced to Japan in 1981 and stood as that country's leading import by the early 1990s because of successful promotion to the young adult market.

But with the succession of his brother, August 'Gussie' Busch, Jr. Under August Busch, Anheuser-Busch became the first brewery to sponsor a radio network. Positive consumer response prompted William Bien, the vice-president of marketing, to design a legendary advertising campaign: During this time, a holiday was declared in Newark, New Jersey, in honor of the opening of a new Anheuser-Busch factory in that city.

The new facility and new equipment necessitated a price hike, however, and Carling profited when its economical beer attracted customers put off by Anheuser-Busch's higher prices. In response, Busch introduced a new, low-priced lager beer and also pursued aggressive advertising promotions.

In 1953, Anheuser-Busch bought the St.

Despite the growth of its market, however, Anheuser-Busch still referred to itself as a 'regional brewery'--an institution that understood the distinct needs and tastes of local people;

Another brewery soon attempted to displace Anheuser-Busch from its number one market ranking;

Decreasing the price of its beer in the 1960s, the Schlitz brewery hoped to force Anheuser-Busch into a price war.

Louis Cardinals baseball team, targeting sports fans as a new category of consumers. Ultimately, the company was successful in rebuffing Carling's challenge. Another brewery soon attempted to displace Anheuser-Busch from its number one market ranking. Decreasing the price of its beer in the 1960s, the Schlitz brewery hoped to force Anheuser-Busch into a price war. Public opinion, however, was never tested, as Schlitz committed several marketing and advertising mistakes, and Anheuser-Busch retained its ranking.

After attending college for two years in Arizona and undergoing instruction in the art of brewing at a school in Chicago, Busch III started in an entry-level position at the company. In 1979, he took over as CEO, vowing to uphold Adolphus Busch's philosophy that natural ingredients be used to distinguish the company's fine brewing from the lower quality brewing of other beers. The Miller Brewing Company challenged this philosophy during the 1970s and 1980s.

Miller introduced a light, low-calorie beer in 1974, which became the best-selling beer for a few months. Although Anheuser-Busch soon edged back into the top ranking, it remained closely followed by the Miller brewery. In response to Miller's challenge, Anheuser-Busch introduced two light beers in 1977, Natural Light and Michelob Light, and the popular Budweiser Light was introduced soon thereafter. Under Busch III, the company developed a unique strategy for dealing with competition that included introducing new brands, increasing the advertising budget, and expanding its breweries.

Moreover, Busch III refocused the company's marketing practices to target more specific groups of consumers. He hired a team of 100 college graduates to promote the sale of Anheuser-Busch beers on college campuses. He also oversaw the development of new advertisements designed to appeal to the working class. In the process, the company's marketing budget quadrupled, and sales increased. Busch III also adopted a 'management control system' that increased the efficiency of the company, redefining it as a modern corporation rather than a small family business.

In response to Miller's challenge, Anheuser-Busch introduced two light beers in 1977, Natural Light and Michelob Light, and the popular Budweiser Light was introduced soon thereafter;

In 1941, three million barrels of beer were produced, a figure that doubled by 1950;

In 1879 the company was incorporated, and the name E;

Moreover, the distribution of Budweiser beer was withdrawn from the Pacific Coast in order to supply the government with additional freight cars for war essentials, and spent grain was sold to financially troubled wartime farmers for poultry and livestock food.

The new management system emphasized planning, teamwork, and communications, controls that, ironically, were intended to promote Anheuser-Busch's image as a regional brewery producing different beers to satisfy individual tastes. Anheuser-Busch continued to rank first in the brewing industry into the 1980s. By 1980, sales had reached 50 million barrels, increasing to 86. Although competition with Miller remained intense, the Budweiser brand outsold its next four competitors combined.

Anheuser-Busch initially espoused an acquisition policy of purchasing companies that would enhance its brewing operations, including malt plants in Wisconsin and Minnesota, beer can factories in Florida and Ohio, and yeast plants in Missouri, New Jersey, California, and Florida.

Louis Refrigerator Car Company inspected and maintained the 880 refrigerated railroad cars used to transport the company's beer across the country.

Manufacturers Railway shipped Anheuser-Busch beer after it was manufactured at the brewery with help from the malt and yeast subsidiaries. Other subsidiaries, however, were soon established that were not directly related to the beer industry.

In the 1980s, 6. Another acquisition, Eagle Snacks, Inc. Despite intense competition from Frito-Lay and Planters Peanuts, Eagle Snacks enhanced Anheuser-Busch's beer business by targeting consumers likely to purchase beer a company overview of anheuser busch companies inc complement their food products. The first 'Busch Gardens' opened 20 years earlier in Tampa, Florida, and featured a 300-acre park boasting one of the world's largest collections of wildlife under private ownership.

Another tourist attraction, 'The Old Country,' in Williamsburg, Virginia, was modeled after villages in 17th-century Europe. Anheuser-Busch's ownership of the St. Louis Cardinals served a similar function. Anheuser-Busch also devoted considerable energy to nurturing its foreign market. The corporation formed Anheuser-Busch International, Inc. The corporation's timing in this venture proved fortuitous: By 1993, the company's beers were offered in 21 European countries and ranked as the second most popular lager beer in the Republic of Ireland and the United Kingdom.

Budweiser was introduced to Japan in 1981 and stood as that country's leading import by the early 1990s because of successful promotion to the young adult market. With a nine percent market share worldwide, Anheuser-Busch had the largest export volume of any American brewer in 1993, accounting for more than 45 percent of U. Adjusting to a New Marketplace: The company had introduced LA, the first low alcohol beer, in 1984, but this product did not prove widely successful.

LA was replaced by O'Doul's in 1990, however, which soon became the nation's most popular nonalcohol brew. Moreover, as Americans' tastes grew more refined and microbreweries made unprecedented inroads into the modern beer industry, Anheuser-Busch sought to enhance the appeal of its brew. The company introduced eight new beers between 1984 and 1991, and, by 1993, Anheuser-Busch offered 19 beer brands, three of which were imports.

New brand introductions did not seem to detract from Budweiser's brand power; the new variations captured 17 percent of the market, while Bud only lost half a share point.